Is Theft Covered Under Electronic Equipment Insurance?

Posted on: Sep 20, 2024 | 3 mins | Written by: HDFC ERGO Team

Is Theft Covered Under Electronic Equipment Insurance?

When you have expensive electronics in your home or office, it is obvious that you will be worried about their safety. While you can’t do anything much about the unforeseen events, the best you can do is cover your electronic equipment under an insurance policy. This insurance product covers electronic equipment against various perils and saves you from huge expenses. Read on to learn about the coverage of an electronic equipment insurance policy. We will also tell you if the policy provides coverage for theft of electronic equipment.

Understanding electronic equipment insurance

An electronic equipment insurance policy is designed to cover electronic devices, such as laptops, computers, air conditioners, television sets, and refrigerators, against various perils. Electronic devices are popularly used in homes, offices, and commercial establishments for work and leisure. While they simplify and expedite many works, they are on the expensive side. Hence, if they break down or get stolen, repairing or replacing them can burn a hole in your pocket. However, if you have an electronic equipment insurance policy, the insurer will cover the devices against certain perils and ease your worries.

Is theft covered under electronic equipment insurance?

Yes, theft and burglary are covered under an electronic equipment insurance policy. If one or more of the covered devices get stolen, the insurer will cover the cost of replacing them.

Therefore, in case of theft or burglary, you can file a claim with the insurance provider by following the steps below:

1. Inform the insurance company immediately about the theft and the extent of the loss suffered.

2. Fill out the claim settlement form correctly and submit it to the insurer with the required documents, such as the original bills of the stolen equipment, product identification number, etc.

3. The insurer will send a representative to visit the site and examine the loss suffered.

4. If everything looks fine, the insurer will settle your claim. In most cases, the insurance company settles claims within 30 days of receiving the claim form and supporting documents.

Documents required to file a claim

In case of theft or burglary of electronic equipment, you must submit the following documents to file a claim with your insurance provider:

• A duly filled-out claim settlement form

• Photocopy of your electronic equipment insurance policy

• Copy of FIR

• Details of the stolen equipment

• Original bills and documents

Other inclusions of an electronic equipment insurance policy

Besides theft and robbery, an electronic equipment insurance policy also covers damages caused by the following perils:

• Accidental fire, explosion, or lightning

• Natural calamities, such as floods, cyclones, landslides, or earthquakes

• Electrical or mechanical breakdown

• Strikes, riots, and other manmade activities

• Loss of important data saved on external devices, such as hard drives, discs, and tapes, due to a covered peril, such as earthquake or theft

• Increase in operational costs following electronic equipment theft or breakdown

Electronic equipment insurance policy exclusions

The following perils are not covered under an electronic equipment insurance policy:

• Normal wear and tear due to regular use

• Failure of the device due to interruption in power supply, such as voltage fluctuations and short circuit

• Damage to electronic equipment due to wilful negligence, carelessness, or human error

• Wilful destruction of electronic equipment

• Manufacturing defects

• Aesthetic defects, such as dents, scratches, and stains

• Any kind of consequential loss

• Damage or disruptions due to war and nuclear explosions

Advantages of electronic equipment insurance

The following are the advantages of buying an electronic equipment insurance policy:

• The policy covers complete loss or damage to electronic equipment, without considering the depreciation cost.

• It may also cover the additional costs incurred due to electronic equipment breakdown, such as costs of overtime or working on public holidays.

• While home insurance or building insurance may offer limited coverage for electronic equipment, an electronic equipment insurance policy provides comprehensive coverage. Therefore, the policy ensures better financial protection during unforeseen events.

Conclusion

To sum up, an electronic equipment insurance policy covers electronic devices against theft and burglary. The policy also provides coverage against other perils, including natural calamities and accidental fire. Therefore, it is wise to opt for this insurance cover to safeguard your expensive devices and save yourself from financial setbacks. You can also explore the options and choose TV insurance, laptop insurance, and other such insurance covers to safeguard your expensive electronic devices.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.

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